iM Update – July 14, 2017

Market Signals Summary:

The MAC-US model is invested. Also invested is the “3-mo Hi-Lo Index of the S&P500”. The monthly updated S&P500 Coppock indicator is also invested. The MAC-AU is also invested. The recession indicators COMP and iM-BCIg do not signal a recession. The bond market model avoids high beta (long) bonds, and the downward trend in the yield curve continues. Both the gold and silver Coppock models are invested, and the iM-Gold Timer is in cash since 6/26/2017.

Stock-markets:

The MAC-US model generated a buy-signal 4/5/2016 and thus is invested in the stock-markets. The sell-spread (red graph) is below last week’s level and has to fall below zero to signal a sell.

The 3-mo Hi-Lo Index of the S&P500 is above last week’s level and at 7.80% (last week 7.56%) and is in the market since 5/25/2017.

The MAC-AU model is invested in the markets after it generated a buy signal on March 21, 2016. The sell-spread is below last week’s level and has to fall below zero to signal a sell.

The Forward Rate Ratio between the 2-year and 10-year U.S. Treasury yields (FRR2-10) is near the previous week’s level and far away from signalling a recession. A downward trend of the FRR2-10 has set in.

With reference to Section 202(a)(11)(D) of the Investment Advisers Act:
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